Milestone 1: Situation Analysis
Group: Creative Juice
By Team: Creative Juice AAKAR BABU- SM22UBBD002
AANCHAL MATHUR- SM22UBBD003
ANANYA AGARWAL- SM22UBBD011
NAYAAB YAMIN- SM22UBBD065
5 Cs Situation Analysis:
1. Company:
Value Proposition: High-quality, customizable granite products, with a focus on
customer satisfaction and cutting-edge manufacturing.
SWOT Analysis:
STRENGTHS WEAKNESSES OPPORTUNITIES THREATS
• Sole Telangana provider Limited Brand • Expand into untapped • Competition from
of Häfele Surfaces: Unique Awareness Outside areas within Telangana cheaper local and national
competitive edge. Telangana: Local focus and nearby regions. suppliers.
• Strong local presence • Strengthen
restricts expansion • Rising raw material costs
with trusted client collaborations with design
opportunities. affecting pricing strategy.
relationships.
Higher Price Point: professionals and
• Customizable granite
Premium positioning contractors.
and surface solutions.
• Wide product range: may alienate cost-
natural and engineered conscious customers.
stones.
Business Objective: Provide superior granite and stone products with customization to
meet specific customer needs.
4 Ps Analysis:
PRODUCT PRICE
Granite, quartz, Competitive
limestone, solid pricing for
surfaces. premium quality.
PLACE PROMOTION
Hyderabad Focus on word-
(manufacturing in of-mouth and
Karimnagar & online presence,
Rajasthan). felid marketing.
2. Customer:
Target Segment Selection: Homeowners, architects and designs, other granite and
marble stores, modern kitchen OEMs, turn key and PMC contractor.
Customer Journey Map:
Customer Persona:
3. Competition & Collaborators:
Ansoff’s Competitive Growth Analysis:
PRODUCTS
Market Penetration Product Development
Aakar Granites is expanding its By partnering with all product lines
reach in the natural stone market of Häfele like Caesarston, Terra,
New
by collaborating exclusively with Dekton, Aakar Granites is offering
premium brands like Häfele new, engineered materials like
Surfaces. This allows them to be quartz and solid surfaces alongside
Increasing Risk
the sole sellers of Häfele in
MARKETS
traditional granite.
Telangana.
Market Development Diversification
Collaborations with other high end Through partnerships with different
brands that only they exclusively all product lines of Häfele, Aakar
Existing
provide could help Aakar Granites Granites is not only introducing
tap into a market monopoly with engineered surfaces but also
those brands and reach more entering new market segments that
customers looking for premium prioritize high-performance
engineered stone products. surfaces.
Existing New
Increasing Risk
High Quality/Variety
Positioning Mapping:
High Price Low Price
Low Quality/Variety
Porter's 5 Forces Model:
Granite manufacturing requires high
capital investment and regulatory
Threat of New
compliance, creating barriers for new
Entrants:
entrants. Established companies with
Moderate
certifications and scale have a
competitive edge over newcomers.
Owning manufacturing units reduces
Bargaining reliance on external raw material
Power of suppliers, limiting their bargaining
Suppliers:
power. However, machinery suppliers
Low to
hold moderate power due to the need
Moderate
for high-quality equipment.
Consumers have many alternatives
like marble and quartz, giving them
Bargaining leverage in negotiations. Bulk
Power of
purchasers and easy access to price
Buyers: High
comparisons online further increase
buyer power.
Alternative materials like ceramic tiles
Threat of and engineered stones pose a strong
threat to granite. Innovation in solid
Substitutes:
surfaces also adds internal competition
High
within product lines.
Local and international competition is
intense, especially in key mining
Industry regions and export markets.
Rivalry: High Companies must balance competitive
pricing and quality to stand out in a
price-sensitive market.
4. Context:
PESTLE Analysis:
POLITICAL ECONOMIC SOCIAL TECHNOLOGICAL
Aakar Granites must Fluctuations in economic Trends toward luxury Technological
navigate India's regulatory conditions, such as home décor and advancements in cutting,
environment, which inflation, interest rates, sustainable materials are polishing, and finishing
includes mining permits and disposable income, reshaping consumer granite improve
and environmental influence consumer preferences. Aakar production efficiency.
compliance. Political purchasing power. Growing Granites caters to diverse Additionally, digital
stability and government urbanization and real social segments with a marketing and online
policies around estate expansion drive wide range of materials, retail platforms help
infrastructure demand for building addressing both Aakar Granites reach a
development also affect materials, benefiting Aakar functional and aesthetic broader audience.
demand for construction Granites. needs.
materials like granite.
LEGAL ENVIRONMENTAL
Sustainability is
Aakar Granites must
increasingly important,
comply with legal
and granite mining can
regulations related to
have significant
mining, environmental
environmental impacts.
impact, and labor laws.
Aakar Granites must adopt
Ensuring ISO standards
eco-friendly practices and
and meeting quality
comply with
certifications are critical
environmental regulations
for maintaining credibility.
to remain competitive
Ongoing Market Scanning:
1. What can be learned
from the past?
Past Failure:
The company experienced a setback when they opened their initial store at the wrong
location. The decision was based on factors that did not align with the actual demand in
that area. As a result, the store underperformed, and the company did not achieve the
anticipated level of success.
Key Learning from this Experience:
The primary takeaway is the importance of choosing the right location based on
thorough market analysis. One of the critical insights from this failure is that the market
doesn’t come to you; you need to go where the market is. This means understanding
where the target customers are concentrated, identifying the specific demand in those
areas, and strategically placing stores to meet that demand. Opening in the wrong area
with a mismatch in customer preferences or demand can result in underperformance,
no matter how good the product or service is.
2. How can the present
be better assessed?
Current Marketing Performance:
Strong Local Presence: The company's strategic focus on marketing based on their
current location has yielded significant results, with a high concentration of granties
shops and a substantial customer base. This has directly contributed to their high
sales and increased profits.
Successful Collaboration: The unique partnership with Haffle has differentiated the
company in the Telangana market, providing a competitive advantage and attracting
a loyal customer base.
Current Marketing Objective:
Geographic Expansion: The company aims to expand its customer base beyond its
current location and reach customers across Telangana. This objective aligns with the
potential for growth and increased market share in the region.
Performance on Best Practices:
Strategic Partnerships: The collaboration with Haffle is a prime example of a strategic
partnership that has enhanced the company's market position. By leveraging the
strengths of both entities, they have created a unique value proposition for
customers.
3. How can the firm be
ready for the future?
To be future-ready, Aakar Granites should adapt to shifting consumer preferences and
embrace key market trends. Enhancing the digital experience with virtual showrooms
and online design tools will engage tech-savvy customers and streamline decision-
making. By focusing on superior customer service and personalized solutions, Aakar
can stand out in a competitive market.
Collaborating with influencers, designers, and celebrities will also elevate the brand,
much like Manish Malhotra’s successful collaboration with Dulux. Partnering with
renowned architects and designers to feature Aakar Granites in high-profile projects
will boost the brand’s visibility and position it as a luxury choice. Additionally,
leveraging ISO 9001 certification, along with digital marketing strategies like social
media and SEO, will highlight quality while boosting online engagement.
These initiatives—digital transformation, celebrity collaborations, and a focus on
personalized marketing—will ensure Aakar Granites remains competitive and ready for
the future, driving customer loyalty and market expansion.
